Srbijagas (full legal name: J.P. Srbijagas) is the state-owned natural gas provider in Serbia with headquarters in Novi Sad. Srbijagas was established on 1 October 2005 as a result of restructuring the integrated petroleum company NIS. The company was created on the basis of NIS divisions NIS-Gas and NIS-Energogas. In 2013, the government of Serbia decided to split Srbijagas into two separate companies because of its mounting debt and unsustainable business practices. The transportation and storage units will operate as Transgas AD, while trade and distribution would continue to operate under Srbijagas AD. Srbijagas reported earnings results for the first quarter of 2016. For the quarter, the company reported net profit of RSD 4.7 billion, compared to a net loss of RSD 1 billion in the same period of last year. The positive turn in the company's performance is due to rising sales despite a drop in prices. Operating profit amounted to RSD 6 billion, which is RSD 400 million less than in the same period of the last year.